INSUBCONTINENT EXCLUSIVE:
SHANGHAI, - China stocks ended higher on Tuesday in very thin trade as Beijing confirmed that it is still in trade talks with Washington,
and as investors looked to market support from government policies aimed at countering slowing growth.
At the close, the Shanghai Composite
Index was 0.4 per cent higher at 2,594.09 points
About 10.13 billion shares were traded on the Shanghai exchange, only about 57 per cent of the market's 30-day moving average of 17.65
billion shares a day.
The blue-chip CSI300 index rose 0.5 per cent to 3,159.82 points, with its financial sector sub-index higher by 0.43
per cent, the consumer staples sector up 0.87 per cent, the real estate index up 2.75 per cent and the healthcare sub-index up 1 per cent
The smaller Shenzhen index ended up 0.85 per cent and the start-up board ChiNext Composite index was higher by 0.846 per cent
** China and the United States discussed the road map for the next stage of their trade talks on Tuesday, during a telephone call between
Chinese Vice Premier Liu He and US Treasury Secretary Steven Mnuchin and Trade Representative Robert Lighthizer
A Canadian provincial court weighing whether to grant bail to Huawei Technologies Co Ltd Chief Financial Officer Meng Wanzhou, who is
facing possible extradition to the United States, adjourned on Monday without deciding her fate
Meng's arrest threatens to inflame an already tense China-US trade relationship.
In a note, analysts at Guodu Securities highlighted
continued weakness in global risk appetite following Meng's arrest, as an inverted US yield curve points to a risk of recession, and as
the risk of a no-deal Brexit increases
But the analysts said the domestic market was showing some "positive changes" as government relief policies are implemented, reducing risks
posed by pledged shares, and as measures to open up domestic markets, such as the Shanghai-London Stock Connect, attract long-term capital
They also said the Central Economic Work Conference, typically held in mid-December, is likely to produce macroeconomic policies targeting
internal and external pressures
Around the region, MSCI's Asia ex-Japan stock index was firmer by 0.18 per cent, while Japan's Nikkei index closed down 0.34 per
cent.
At 07:25 GMT, the yuan was quoted at 6.8984 per US dollar, 0.17 per cent firmer than the previous close of 6.9099
The currency strengthened despite a sharply lower daily fixing set by the central bank
The largest per centage gainers on the main Shanghai Composite index were Ningxia Xinri Hengli Steel Wire Rope Co Ltd , up 10.08 per cent,
followed by Veken Technology Co Ltd, gaining 10.05 per cent, and Shaanxi Broadcast TV Network Intermediary Group Co Ltd, up by 10.03 per
cent.
The largest per centage losers on the Shanghai index were Zhejiang Langdi Group Co Ltd, down 10 per cent, followed by Jiangsu Kanion
Pharmaceutical Co Ltd, losing 6 per cent, and ShangHai ZhongYiDa Co Ltd, down by 5.24 per cent.
